We are entering an era of a subscription economy, where everything is “as-a-service.” From the TV shows we watch (think Netflix) to the cars we drive (think Zipcar), we own less, rent more, and expect continual value from these services. When our expectations are not met, we switch, cancel, click “delete,” and activate an alternate service.
With a fickle customer base, companies are prioritizing long-term customer satisfaction and success. Traditional sales and marketing functions are merging into a new function, called customer success management. This function “manage[s] customer relationships to: reduce churn, increase existing revenue and influence new sales” (Forrester blog). Customer-recognized value is the new black in corporate “fashion”—and it’s not going out of style.
How will companies unlock the full potential of customer success management? Only time will tell. But several organizations (including GE, AT&T, Intel, and HP) are tackling the market shift by implementing Value Management Offices (VMO) as a resource for customer success management. They are placing the VMO in front of their customers, to lead conversations about the full picture of value: from how a prospect thinks about value before a purchase, to how a long-time customer assesses and measures the value of a service over time.
See the infographic below for more research on the subscription economy and customer success management: